tag:blogger.com,1999:blog-7609353726565000072.post1156412266715652194..comments2023-06-14T02:29:40.319-07:00Comments on PSPRS Pension Watch: Final interest rates for the Hall case: 4.25% for pre-judgment interest; 5.25% for post-judgment interestDrop Zonehttp://www.blogger.com/profile/07195030344305212432noreply@blogger.comBlogger25125tag:blogger.com,1999:blog-7609353726565000072.post-37686391860804258842017-09-09T09:44:36.733-07:002017-09-09T09:44:36.733-07:00Give them your money then. And turn your check ove...Give them your money then. And turn your check over to them as well!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-64386743803697406222017-08-17T07:04:39.165-07:002017-08-17T07:04:39.165-07:00Based on PSPRS' formula for post-judgment inte...Based on PSPRS' formula for post-judgment interest, it would use the pre-judgment rate going all the way back to July 2011. That rate/365 days will be what you earn every day on your accumulated excess contributions. This means your daily rate of interest would increase every two weeks up until you were paid your refund. Using your $10,000 figure, someone should be earning $1.16 per day on that amount from the time your employer stopped taking the extra 4% from your check until your refund was paid to you. Obviously, the calculation of interest for the entire 5-6 year period would be much more complicated because the accumulated excess increased every two weeks.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-64983119969051034212017-08-17T06:56:16.262-07:002017-08-17T06:56:16.262-07:00That will be determined by the regional consumer p...That will be determined by the regional consumer price index (CPI) rate at the end of fiscal year 2018, which ends June 30, 2018. You will get either that regional CPI or 2%, whichever is lower. Just as example, the national CPI at the end of June 2017 was 1.6%, so if the COLA was in place now, your individual monthly benefit would increase by that amount. Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-57375937461252445802017-08-14T21:42:16.219-07:002017-08-14T21:42:16.219-07:00For those of us who retired prior to the Hall &...For those of us who retired prior to the Hall & Parker cases; from what I understand, we are supposed to finally see a COLA increase in July 2018. Does anyone know the percentage of that increase? The Hall and Parker cases are monopolizing all of the information about our retirement system, but it doesn't affect us who have already retired.Anonymoushttps://www.blogger.com/profile/14818450278814700245noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-53410331129461614332017-08-11T12:13:23.631-07:002017-08-11T12:13:23.631-07:00How are they going to pay the interest when the ra...How are they going to pay the interest when the rate has not been finalized and entered in the Parker case?billhttps://www.blogger.com/profile/09621294447340520742noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-83172768695011459282017-08-06T15:48:09.137-07:002017-08-06T15:48:09.137-07:00So how is the pre-judgement interest going to work...So how is the pre-judgement interest going to work? Will it be a flat 4.25 % for example 10,000 check, a check for $425? Or will it be calculated properly, the first year gets 4.25% interest for 6 total years from 2011, the 2nd year 4.25% interest for 5 total years from 2011 etc? Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-51423028158500956262017-07-29T20:55:13.022-07:002017-07-29T20:55:13.022-07:00Has there been any changes as of today (07/29/17) ...Has there been any changes as of today (07/29/17) on the Parker interest? I got a message from my (former) employer that they are getting ready to issue the refund checks, and they state verbatim:<br /> <br />"XXXXXXXXXX XXXXXXX is preparing to disperse the PSPRS refund owed to you as determined by the Court. The refund will include the total amount of your excess contributions plus all applicable pre and post judgement interest."<br /><br />Has there been some sort of agreement reached? <br /><br />And, according to the last PSPRS Local Board meeting I went to, pre-judgement interest will be paid by the employer, subject to crediting to their PSPRS account, just as the over payment itself is. However, post-judgement interest will NOT be credited and is the total responsibility of the employer. <br /><br />I don't see how forcing the post-judgement interest on the employer is proper in any way. I wonder if/when the agencies themselves are going to file suit, or appeal THAT decision. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-63994285956999077042017-07-27T01:25:20.147-07:002017-07-27T01:25:20.147-07:00So what would be the projected overall interest to...So what would be the projected overall interest to be paid in the scenario you provided if it were to pay by July 31st?<br />Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-60171061818276899822017-07-26T12:55:50.553-07:002017-07-26T12:55:50.553-07:00If you are referring to who actually delivers the ...If you are referring to who actually delivers the funds, my understanding is that it will come through your employer. As to who actually pays the interest, I would assume that it is deducted from the employer's accrued assets being held by PSPRS.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-51805067720689380222017-07-25T23:29:18.433-07:002017-07-25T23:29:18.433-07:00Is the pre judgement interest being paid by the em...Is the pre judgement interest being paid by the employer or by psprs/eorp?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-1552075165646447812017-07-24T05:49:29.988-07:002017-07-24T05:49:29.988-07:00That is the amount of time between when the pre-ju...That is the amount of time between when the pre-judgment interest period ended and when you are actually returned your excess contributions. That period is covered by post-judgment interest of 5.25%. Each day after June 29th earns 1/365 of .0525, which for $12,000 of excess contributions is about $1.44 per day of post-judgment interest. For comparison, pre-judgment interest would be about $1.40 per day.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-68189199670958852662017-07-23T12:28:39.615-07:002017-07-23T12:28:39.615-07:00i don't understand the June29th and payout 365...i don't understand the June29th and payout 365 what does that mean?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-41363712077083188492017-07-21T08:20:05.495-07:002017-07-21T08:20:05.495-07:00You are correct. I perhaps let the employers, cit...You are correct. I perhaps let the employers, cities in particular, off too easy. They have done more than their fair share to contribute to this problem. Allowing sick leave sellback to count as pensionable income for years when it was illegal is just one example. Nevermind all the other things they spend on that fall outside of their core services. Thanks.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-6526689561239806442017-07-20T20:11:54.380-07:002017-07-20T20:11:54.380-07:00Or fund the 6 figure salaries plus large bonuses f...Or fund the 6 figure salaries plus large bonuses for PSPRS.billhttps://www.blogger.com/profile/09621294447340520742noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-78088174768789796252017-07-20T14:15:02.260-07:002017-07-20T14:15:02.260-07:00ThanksThanksAnonymoushttps://www.blogger.com/profile/05174433756687992266noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-67721945523413071932017-07-20T12:00:49.659-07:002017-07-20T12:00:49.659-07:00OK, good point then on that part of the reply. Gue...OK, good point then on that part of the reply. Guess it would have been to much to ask for "employers" to save a little money and put it in a rainy day find when times are good and the system is well over 100 percent funded. But, like most they spend taxpayer money like drunken sailors.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-88688861523025907032017-07-20T10:43:21.339-07:002017-07-20T10:43:21.339-07:00I think this is what the states would call an unfu...I think this is what the states would call an unfunded mandate--something they readily complain about when the federal government imposes them on the states. I don't think the state has any obligation to pay anything, just as the federal government pays nothing to states for federal laws that force costs onto states, despite the fact that they have created the mess for local employers through their unholy alliance with the state-level public safety unions. I wish this wasn't the case. If states had some more skin in the game they would be less cavalier with other people’s money.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-79718898858432578622017-07-19T18:31:55.531-07:002017-07-19T18:31:55.531-07:00100 percent on point. So why doesn't the state...100 percent on point. So why doesn't the state have to foot the bill? Or at least make some sort of contribution to the law they broke? ThanksAnonymoushttps://www.blogger.com/profile/05174433756687992266noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-49195279368030770042017-07-19T18:24:09.924-07:002017-07-19T18:24:09.924-07:00I am not sure why this urban legend persists that ...I am not sure why this urban legend persists that employers did not contribute their fair share to the pension. Tier 1 and 2 employees pay a fixed rate, but employers have a variable rate. For a few years in late 90's and maybe even the early 2000's, the annual required contribution (ARC) for employers dropped below the 7.65% paid by employees because the pension was over 100% funded. That was the law, and employers paid the ARC that PSPRS said they owed. They did not shortchange PSPRS or deliberately underpay; they paid what they were required by law to pay and have continued to do so as the ARC's have increased over the past 15 years. Employers have more than made up for any small savings made years ago with the exorbitant ARC’s they are paying now. Employers have been victims of the collusion between the state legislature, who have nothing to lose from tampering with PSPRS, and state union leaders, who have everything to gain by enhancing benefits. The employers have to pay for the benefits but had no say in the legislation, as PSPRS is under control of the state. Making employers out to be the bad guys is not only dishonest but not helpful in solving PSPRS' problems.Drop Zonehttps://www.blogger.com/profile/07195030344305212432noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-75986119331709642712017-07-19T12:39:07.626-07:002017-07-19T12:39:07.626-07:00But they made the extra money from OUR money! UNCO...But they made the extra money from OUR money! UNCONSTITUTIONALLY. I cant believe there is still sympathy for PSPRS or the Cities who didn't contribute properly during the prosperous years (Phoenix). Members should get every penny of interest made by PSPRS and the Cities should be paying 10 percent post-judgment especially the ones who always drag their feet (Phoenix)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-2711423727432160872017-07-19T12:02:03.090-07:002017-07-19T12:02:03.090-07:00It was prime plus 1 wheb the case was originally d...It was prime plus 1 wheb the case was originally decided a couple years ago that is why it is 4.25. Psprs members will be getting 5.25 bc prime currently is 4.25.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-57852627139919040862017-07-19T11:00:33.613-07:002017-07-19T11:00:33.613-07:00Why isn't the state held accountable? The fact...Why isn't the state held accountable? The fact is the legislature was found to be in violation of the law? Anonymoushttps://www.blogger.com/profile/05174433756687992266noreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-23412393338827758952017-07-19T08:53:34.985-07:002017-07-19T08:53:34.985-07:00Better than .01% the banks would have given if in ...Better than .01% the banks would have given if in a saving account. The extra money they make will help fund the system for the future. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-72973199010605438432017-07-18T21:11:11.365-07:002017-07-18T21:11:11.365-07:00Better than 0%.Better than 0%.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7609353726565000072.post-22263157759041327372017-07-18T19:20:37.378-07:002017-07-18T19:20:37.378-07:004.25% is too low, especially for what PSPRS made o...4.25% is too low, especially for what PSPRS made on our money.billhttps://www.blogger.com/profile/09621294447340520742noreply@blogger.com